Russia: Fazer signs agreement for new bakery plant
Fazer, the Finland-based confectionery and bakery firm, has announced the signing of a statement of intent as a basis for strategic cooperation in building a new production plant for the firm in Russia.
The company said it was considering building a new and modern plant to produce frozen bakery goods, with potential expansion into fresh bakery products. The approximate project timeline is 10 years from 2016.
Fazer already has four operating bakeries and around 3,000 employees in Russia. The country accounted for around 12% of the group's net sales in 2015.
Commenting on the move, Vladimir Kalyavin, managing director of Fazer in Russia, said: "Bread has been changing rapidly from a commodity category towards a category with an increasing number of innovations in products and technologies. Fazer is not only following consumer demand, but also setting new trends for bread consumption. The new plant will enable us to implement recipes that appeal to consumers, helping us to grow the category with our customers and improving the efficiency of our operations".